Diageo Expects Sales To Improve In The Coming Months, Despite Macro Challenges

Ahead of its annual general meeting today, Diageo said it’s holding its current guidance in place, with sales expected to improve gradually through the end of calendar 2023 and into 2024. That’s despite ongoing macroeconomic challenges that have weighed down growth across the drinks business lately.

“While we expect operating environment challenges to persist, with ongoing cost pressure and geopolitical and macroeconomic uncertainty, we will move with speed and agility and continue to invest in marketing and innovation,” said Diageo CEO Debra Crew. “I am confident in the resilience of our business and our ability to navigate these headwinds while executing our strategic priorities.”

Diageo’s medium-term guidance calls for organic net sales gains of 5% to 7% for fiscal 23 to fiscal 25 and organic operating profit growth of 6% to 9%. Last week, the drinks giant named former Clif Bar chief executive Sally Grimes as CEO of its North America unit. Diageo is by far the leading spirits marketer both globally and in the U.S. with 2022 volume of 259 million cases worldwide, including 41.7 million cases in the U.S., according to Impact Databank.

GET YOUR FIRST LOOK AT 2025 ESTIMATES AND 2030 PROJECTIONS FOR THE WINE AND SPIRITS INDUSTRIES. ORDER YOUR 2025 IMPACT DATABANK REPORTS. CLICK HERE.